BP acquiring ethanol plants in Brazil

By OGJ editors HOUSTON, Mar. 14 -- BP PLC has agreed to acquire majority control of Cia. Nac. de Acuacar e Alcool, an ethanol and sugar producer in Brazil for $680 million and assumption of all the company’s long-term debt.

BP will become operator of two ethanol mills in Goias and Minas Gerais states. A third mill is under development in Minas Gerais.

When fully developed, each mill will have capacity to crush 15 million tonnes/year of sugar cane grown nearby and to produce 480 million l./year of ethanol equivalent. Each mill also will be able to supply 380 Gw-hr/year of electrical power.